Calculating interest allows you to plan for important goals and understand your progress towards those goals. This page will cover how to calculate the following: Simple interest Single (one-time) investments Compound interest Ongoing (monthly, for example) investments How to Calculate Interest You Earn Interest is the cost of money. When [...]
When an investor borrows money from his broker to buy stocks, the process is called Margin Trading. Margin is a way of increasing your purchasing power for investments. Buying on margin means that you take a loan from your broker to increase the amount of funds you have at your [...]
Intraday trading as the name suggests refers to the trading system where you have to square-off your trade on the same day. Squaring off the trade means that you have to do the buy and sell or sell and buy transaction on the same day before the market close. Intraday [...]
A stop-loss order helps you limit your losses or protect your profits. The difference between a regular and trailing stop-loss order is that the regular stop-loss must be changed manually, while a trailing stop-loss is adjusted automatically based on the amount or percentage you set. When you buy a stock [...]
Indian share markets remain open for equity trading on all weekdays except Saturdays, Sundays and declared market holidays. NSE / BSE Opening Time: 09:15 AM IST NSE / BSE Closing Time: 3:30 PM IST The stock market timings can be divided into three sessions. They are: Pre-opening session Normal session [...]
A futures contract is an agreement between two parties – a buyer and a seller – wherein the former agrees to purchase from the latter, a fixed number of shares or an index at a specific time in the future for a pre-determined price. These details are agreed upon when [...]
What is a Derivative A derivative is a financial security with a value that is reliant upon or derived from an underlying asset or group of assets. The derivative itself is a contract between two or more parties based upon the asset or assets. These financial instruments help you make profits by [...]
An option is a derivative that gives the owner the right to buy or sell securities at an agreed upon price within a certain period of time. Specifically, options are contracts that grant the right, but not the obligation to buy or sell an underlying asset at a set price on or before a certain date. [...]
Arbitrage is basically buying a security in one market and simultaneously selling it in another market at a higher price, profiting from the temporary difference in prices. This is considered riskless profit for the investor/trader. In the context of the stock market, traders often try to exploit arbitrage opportunities. For example, a trader may [...]
Intraday trading refers to day-based trading, where traders open and close their positions on the same day. This involves taking advantage of market volatility to make immediate money. It also helps traders prevent overnight losses caused by events that surface after the markets have closed. Wealth management Invest only what [...]